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Memorandum
April 17, 2006

To:

Campus Community

From:

Neil Kerwin, President

Subject:

Amendment to AU Wage Policy

American University is committed to ensuring that our hourly wages are fair and comparable to those paid by other universities and municipalities in the greater Washington, D.C. area, from which AU draws its staff. In 2002, the Board of Trustees adopted a "wage policy" that has been in effect for the past three years and which provided for planned increases. In March 2006, the interim provost and vice presidents recommended and I approved the next stage of the wage policy, which is outlined below. I appreciate the ongoing effort by members of this community and the university leadership on this issue.

AMERICANUNIVERSITY WAGE POLICY

In November 2002 American University's Board of Trustees approved a wage policy that called for a minimum hourly wage of $11.00 per hour effective September 1, 2005. That policy stated:

The university wage policy will assure that the lowest paid employees of our campus community can live decently within the economic structure of the greater Washington geographic region from which AU draws its staff.

The wage policy will contain the following conditions:

It will be based on the demographics of the region from which we draw our employees, as well as the general practices reflected in other wage policies.

It will be set at a rate that is competitive with rates paid by other universities and municipalities in the region.

It will fit within AU's existing compensation system as the framework within which it will be institutionalized and maintained.

The wage rate will be increased when the salary band structure is adjusted

The policy will cover all full-time, non-union, staff employees of the university.

Employees of multi-year service contracts and persons regularly employed on campus -- except first-year (Dining Service) or entry-level (Housekeeping Service) employees -- will be covered by the policy.